Inflation causing unexpected Inheritance Tax issues
During this unprecedented time of financial challenges, increasing inflation is causing real issues with families across the UK.
Experts predict that inflation will reach a 40-year high which is contributing to the continued increase in property values. The current estimate is 1 in 42 homes are worth over £1m.
One of the ways this is causing issues for families is through unexpected Inheritance Tax (IHT) bills.
Inheritance Tax bills
With the nil-rate band frozen at £325,000 for over a decade now, families can find themselves faced with a large Inheritance Tax bill following the passing of a loved one.
David Crooke Head of Sales at Tower Street Finance said: “With inflation creating real strain on the cost of living, people may not have the funds available to access the right advice to get their affairs in order.
“It can also be a big surprise for people to find out that a property within their family may be worth far more than they would have thought. These two factors create the potential for large IHT bills and a nasty surprise.
“The good news is that we can help people who find themselves with an Inheritance Tax bill that they can’t afford to pay. Our Inheritance Tax Loan product can ensure they can settle the IHT bill, with no credit checks or personal liability, and keep the process of Probate and Estate Administration moving along.”
Tower Street finance can also help Beneficiaries to access their Inheritance quicker through the Inheritance Advance product, should the need arise.